YES Bank released the results of the fourth quarter (January-March) of FY 2024-25 on Saturday, in which the bank performed brilliantly and recorded a net profit of 738 crores. This is an increase of 63 per cent over 452 crores in the same quarter of last year.

What did the bank say?

Bank Managing Director and CEO Prashant Kumar said in his statement, “Q4FY5 was another important quarter for us. We have constantly improved the major indicators and the increase in profits shows the success of our strategy.”

Understand data

Net Profit: 738 crores (63 percent increase, Net profit of 452 crore in last quarter)

Net Interest Income (NII): 2,276 crore (5.7 percent increase)

Net Interest Margin (NIM): 2.5 percent

Provisioning: 318 crores (32.5 percent fall)

Gross NPA: 1.6 percent (10 basis point fall)

Net NPA: 0.3 percent (30 basis point fall)

Reasons behind the bounce in profit

Yes Bank has many major reasons for the increase in profits. The most important of these is an increase in interest income. Actually, the bank’s original earnings, that is, income from loan has improved. In addition, the reserve created for poor loans has been reduced, which increased the profit. The bank has controlled its NPAs to a great extent.

While gross NPA declined from 1.7 percent to 1.6 percent, the net NPA has come down from 0.6 percent to 0.3 percent. This makes the bank’s balance sheet strong and a better possibility of loan recovery in future.

Stock market response

The Indian stock markets were closed due to Good Friday on Friday, 18 April. Whereas, YES Bank shares made positive trends on Thursday, the stock rose 1.23 per cent to close at Rs 18.90 that day. While the previous closed price was Rs 17.87.

Disclaimer: (The information provided here is being given only for information. It is necessary to tell here that the investment in the market is subject to risks. Always consult expert before investing as an investor. Abplive.com is never advised to invest money here.)

Also read: US China Trade War: This ‘Secret Lady’ is strengthening China against America, Dragon wants to do Raj in the sky!